Some Enterprises Started Holiday Early, Die-Casting Zinc Alloy Operating Rates Edged Down [SMM Die-Casting Zinc Alloy Weekly Review]

The die-casting zinc alloy operating rate was 50.48% this week, down 0.27 percentage points WoW. Zinc price center moved lower during the week, and end-user hardware enterprises showed improved enthusiasm for pre-holiday stockpiling, driving down finished product inventories at die-casting zinc alloy plants. Influenced by this, enterprises' willingness to restock at low prices on dips strengthened, and raw material inventory increased accordingly. Demand side, recent garment zipper orders performed relatively well, electronics and auto parts orders also remained stable, but daily hardware demand remained mediocre. Although low prices stimulated end-user pre-holiday stockpiling during the week, some die-casting zinc alloy plants with higher inventories still plan to shut down furnaces ahead of Labour Day holiday as scheduled, causing the operating rate to decline this week. Looking ahead to next week, most die-casting zinc alloy enterprises will arrange Labour Day holiday breaks, generally ranging from 1 to 9 days, and the operating rate is expected to drop to around 43.55%.